Government plans to reopen debt swap after US Supreme Court setback

Economy Minister Axel Kicillof has announced that the government plans to reopen the debt swap program in the hope of renegotiating bonds held by hedge funds, after the US Supreme Court declined to take Argentina's case against the so-called 'vulture funds'.

The official spoke today in a press conference to communicate the government's position on the yesterday's ruling in the US Supreme Court. The 'vulture funds' are investors who refused to enter previous debt swaps, and are using the New York court system to demand full payment of bonds acquired after the 2001 default.

Kicillof told a press conference convened in the Economy ministry that the Cristina Fernández de Kirchner administration would take the necessary steps for "a new debt swap under Argentine legislation."

The minister further revealed that tomorrow morning he would meet with the president of the Senate and Congress party blocs, as well as provincial governors, in order to "let them know what our point of view, actions and alternatives are."

Kicillof vowed that Argentina would take every possible action in order to keep up payments on foreign debt restructured in 2005 and 2010, while criticising those who, in the politician's view, were trying to destroy existing agreements with creditors.

For Kicillof, the Supreme Court decision is in line with those "who want to destroy the restructuring of Argentine debt, as he promised to keep up commitments to investors.

"We will do whatever it takes to pay our restructured debt," he underlined.

"That restructuring that is now in danger is one of the central pillars of the growth our country has enjoyed in recent years."